10 Firms Begin Trading Week With Impressive Gains

Page 9 of 9

1. SpringWorks Therapeutics Inc. (NASDAQ:SWTX)

SpringWorks rallied by 34.06 percent on Monday, a second consecutive day, to finish at $54 apiece following news reports that it is being targeted for acquisition by German healthcare and technology group Merck.

A report by Reuters citing people privy to the matter said that Merck and SWTX are in advanced talks for a potential merger. Merck confirmed the news later in the day but underscored that while negotiations are ongoing, no legally binding agreement has been signed and that a potential deal remains uncertain.

Assuming the talks are successful, the report said that a definitive signing could occur in the next few weeks.

SWTX is a company developing several treatments for different types of cancers and tumors.

While we acknowledge the potential of SWTX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as SWTX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

Disclosure. None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and investors. Please subscribe to our daily free newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

Page 9 of 9